Microeconomics: Principles, Applications, and Tools (8th Edition)

by O'Sullivan, Arthur; Sheffrin, Steven; Perez, Stephen

Published by Prentice Hall

ISBN 10: 0-13294-886-9

ISBN 13: 978-0-13294-886-9

Chapter 9 - Perfect Competition - Exercises - 9.2 The Firm's Short-Run Output Decision - Page 228: 2.8

Answer

decrease decrease supply

Work Step by Step

Law of supply dictates that with price increases comes increased supply and with decreased prices come decreased supply.

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